Difficult economic times have produced another incident in an ongoing conflict that will always exist between Rutherford County Commission and the Board of Education.
The commission is worried mightily about whether it can pay in the 2010-11 budget year to operate two new proposed schools. The school board is worried about where it will put hundreds of new students if it doesn’t have two new schools.
Both government bodies have their priorities straight; they just conflict as they have time and time again over the years in this high-growth county, and indeed in virtually every county regardless of growth or lack of same.
The school board wants to move ahead with plans for two new schools to try to keep pace with an ever-growing student population and in this instance take advantage of unique construction savings arising from a depressed economy.
The commission wants to delay building the new schools because of the depressed economy due to fears that the significant funding increase necessary to operate in the schools come fall of 2010 will require a significant tax increase.
Facing a looming budget shortfall this year due to less than anticipated sales tax collections, a big drop-off in fees associated with the housing industry and likely a much lower than normal increase in property tax assessments, the county definitely faces some serious revenue issues that call for a penny-pinching budget process before June for the 2009-10 budget year.
Without endorsing some of the specific arguments of both positions, we think the county would be advised to move ahead with construction of the two schools and realize the millions and millions of dollars in construction costs presently available.
Those construction savings will only be available when the economy is struggling as now. As time improves, prices to build new schools will return to previous levels.
It’s a timing issue.
The county can save a huge amount of money by building now.
But, it won’t have to come up with the extra funds to actually operate the schools for some 18 months.
While obviously no one can predict the economy in 18 months (must go back 18 months and try to find an economist who was predicting our present situation), history strongly indicates we will have rebounded strongly by then.
The likelihood then is the county would find itself with much greater resources to meet the new funding needs.
And, as Commission Ron Williams correctly noted if times are still hard, the commission could just not open the new schools.
That seems unlikely, but would be an option if times required it.
The issue may well break down to a fundamental question: How much faith do our officials have in free enterprise and America’s business sector?
We have enough faith to believe that in 18 months our economy will be much improved and having built the two new schools we will have saved several millions that can actually be used to operate them.
If the economy hasn’t improved, they may well serve as the additional homeless housing we will undoubtedly require. |
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